Profits shot up at Bank Restaurant Group in the first half of the year after a strong performance from established sites and a maiden contribution from new acquisition Zinc.
Bank credited a 21% increase in pre-tax profit in the six months to 30 April to £617,000 (2005: £509,000) after buoyant sales at its Bank Birmingham and Westminster restaurants.
The deal to buy Conran’s Zinc Bar and Grill business, which completed on 12 December, pushed turnover up 2.2% to £6.96m (£2005: £4.72m).
However, due to the timing of the deal, the Zinc business made only a four-month contribution to the group’s balance sheet, and missed out on the bulk of the Christmas trading period.
With a new Zinc due to launch in Manchester’s Old Trafford shopping centre in September, and the refurbishment of the five other eateries planned, Bank expects the operating loss of £128,000 recorded in the period by Zinc to be reversed over the full year.
Bank also said its greater purchasing power through the £4m Zinc deal would enable it to improve margins further.
Robert Breare, chairman of Bank, said: “This was a period of active preparation to grow the group and the expansion and restyling of the Zinc Portfolio.”
Breare said the board continued to plan an “acquisition of scale” in the near future.
- At the end of June Christian Delteil stepped down as managing director after six years. He remains on the board as a non-executive director. David Best joined the group in the same month as director of operations for Bank and Paul Goodale is director of operations for Zinc.
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